TARP Banks cleaned out the vault.
TARP Banks claimed no fault.
All the president’s advisers and all the president’s men
Couldn’t get the Banks lending again.
Banks that have received TARP funds can choose whether to make more loans to add income or keep the TARP money to shore up reserves.
A bank can survive low operating earnings for several quarters, but will be closed if insolvent for as short a time as a month.
The banks are choosing loss of profit for the short term, in other words, no money to lend to us or for business loans. So they choosing to invest in leveraging of the TARP funds.
It looks at this point that one use of the TARP money is for mergers and acquisitions. We the people, are being fleeced by the banks that help get us into this mess.
See at the table below.
|
Banks |
Investment |
Purpose |
Status |
Total TARP % |
|
|
Billions |
Directed at |
||||
|
Bank of America |
$15 |
China Construction Bank |
Investment |
Committed |
80% |
|
PNC Financial |
$5.2 |
National City |
Purchase |
Planned |
66% |
|
US Bancorp |
$6.6 |
Downey Savings & Loan Association and PFF Bank & |
Purchase |
Done |
Not released |
|
Zions Bancorp |
$1.4 |
“Acquisition plans” |
Purchase |
Possible that it has been done |
Not released |
|
BB&T |
Not disclosed |
“Expansion plans” |
Through Purchases |
Possible that it has been done |
Not released |
To read more go to Money Morning
